Hero Honda Cp

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Corporate Profile

Hero Honda Motors Ltd. is the world's largest manufacturer of two wheelers, based in India.

The company is a joint venture between India's Hero Group and Honda Motor Company, Japan

that began in 1984.

In 2001, the company achieved the coveted position of being the largest two-wheelermanufacturing company in India and the World No.1 two-wheeler company in terms of unitvolume sales in a calendar year by a single company. Hero Honda has retained that covetedposition till date.

Today, every second motorcycle sold in the country is a Hero Honda bike. Every 30 seconds,someone in India buys Hero Honda's top-selling motorcycle Splendor.

Vision

The Hero Honda story began with a simple vision the vision of a mobile and an empoweredIndia, powered by Hero Honda. This vision was driven by Hero Hondas commitment tocustomer, quality and excellence, and while doing so, maintaining the highest standards of ethicsand societal responsibilities. Hero Honda believes that the fastest way to turn that dream into areality is by remaining focused on that vision.

StrategyHero Hondas key strategy has been driven by innovation in every sphere of activity building arobust product portfolio across categories, exploring new markets, aggressively expanding thenetwork and continuing to invest in brand building activities.

ManufacturingHero Honda bikes are manufactured across three globally benchmarked manufacturing facilities.Two of these are based at Gurgaon and Dharuhera which are located in the state of Haryana innorthern India. The third and the latest manufacturing plant is based at Haridwar, in the hill stateof Uttrakhand.

TechnologyIn the 1980s Hero Honda pioneered the introduction of fuel-efficient, environment friendlyfour-stroke motorcycles in the country. Today, Hero Honda continues to be technology pioneer.It became the first company to launch the Fuel Injection (FI) technology in Indian motorcycles,with the launch of the Glamour FI in June 2006.

ProductsHero Honda's product range includes variety of motorcycles that have set the industry standardsacross all the market segments. The company also started manufacturing scooter in 2006. HeroHonda offers large no. of products and caters to wide variety of requirements across all thesegments.

Distribution


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The company's growth in the two wheeler market in India is the result of an intrinsic ability toincrease reach in new geographies and growth markets. Hero Honda's extensive sales and servicenetwork now spans close to 4500 customer touch points. These comprise a mix of authorizeddealerships, Service & Spare Parts outlets, and dealer-appointed outlets across the country.

BrandThe company has been continuously investing in brand building utilizing not only the new

product launch and new campaign launch opportunities but also through innovative marketinginitiatives revolving around cricket, entertainment and ground- level activation.

Hero Honda has been actively promoting various sports such as hockey, cricket and golf. HeroHonda was the title sponsor of the Hero Honda FIH Hockey World Cup that was played in Delhiduring Feb-March 2010. Hero Honda also partners the Commonwealth Games Delhi 2010.

2009-10 PerformanceTotal unit sales of 46,00,130 two-wheelers, growth of 23.6 per cent

Total net operating income of Rs. 15860.51 Crores, growth of 28.1 per centNet profit after tax at Rs. 2231.83 Crores, growth of 74.1 per centFinal dividend of 1500% or Rs. 30 per share on face value of each share of Rs. 2EBIDTA margin for the year 17.4 per centEPS of Rs. 111.77, growth of 74.1 per cent

BOARD OF DIRECTORS

No. Name of the Directors Designation

1 Mr. Brijmohan Lall Munjal Chairman & Whole-time Director

2 Mr. Pawan Munjal Managing Director & C.E.O.

3 Mr. Toshiaki Nakagawa Joint Managing Director

4 Mr. Sumihisa Fukuda Technical Director

5 Mr. Sunil Kant Munjal Non-Executive Director

6 Mr. Suman Kant Munjal Non-Executive Director

7 Mr. Takashi Nagai Non-Executive Director

8 Mr. Yuji Shiga Non-Executive Director

9 Mr. Pradeep Dinodia Non-executive & Independent Director

10 Gen. (Retd.) V. P. Malik Non-executive & Independent Director

11 Mr. Analjit Singh Non-executive & Independent Director

12 Dr. Pritam Singh Non-executive & Independent Director

13 Ms. Shobhana Bhartia Non-executive & Independent Director

14. Mr. M. Damodaran Non-executive & Independent Director

15. Mr. Ravi Nath Non-executive & Independent Director

16. Dr. Anand C. Burman Non-executive & Independent Director


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BRIEF PROFILEOF DIRECTORS

MR. BRIJMOHAN LALL MUNJAL

Mr. Brijmohan Lall Munjal is the founder Director and Chairman of the Company and the $ 3.2billion Hero Group. He is the Past President of Confederation of Indian Industry (CII), Society ofIndian Automobile Manufacturers (SIAM) and was a Member of the Board of the Country'sCentral Bank (Reserve Bank of India). In recognition of his contribution to industry, Mr. Munjalwas conferred the Padma Bhushan Award by the Union Government.

Mr. Brijmohan Lall Munjal is currently on the board of the following companies:

No. Name of Company Nature ofOffice

1 Hero Honda Motors Limited Chairman and Whole-time Director

2 Hero Honda Finlease Limited Chairman and Director

3 Munjal Showa Limited Chairman and Director

4 Easy Bill Limited Director

5 Rockman Industries Limited Director

6 Shivam Autotech Limited Director

MR. PAWAN MUNJAL

Mr. Pawan Munjal is the Managing Director and CEO of the Company. He is responsible forgrowth and strategic planning for the entire Group. A graduate in mechanical engineering, Mr.Munjal has been instrumental in bringing about technological and managerial excellence in theCompany's operations. He has been the Chairman of several Committees of CII.

He is also on the board of Indian Institute of Management, Lucknow . An avid golfer, Mr.Munjal is Past Chairman of the Asian PGA Tour Board of Directors and the Past President ofProfessional Golfers Association of India (PGAI). Under his guidance, Hero Honda launched the

Hero Indian Sports Academy (HISA) in collaboration with Laureus Foundation to provide equalopportunities in sports to various communities and to reward talent in the country.

Mr. Pawan Munjal is currently on the Board of the following companies:



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1 Hero Honda Motors Limited Managing Director & CEO

2 Hero Honda Finlease Limited Director


MR. TOSHIAKI NAKAGAWA

Mr. Toshiaki Nakagawa joined the Company as Joint Managing Director on February 1, 2006.

He joined Honda Motor Co., Ltd, Japan in April 1973 and later on took various assignments atSenior Positions in world wide Honda net work, such as staff member of UK, Hongkong andPresident of Honda Czech Republic, Honda France and General Manager of Honda BeijingOffice.

Before joining the Company, he held the position as General Manager of Operating Office ofChina, ASEAN succeeding by Operating Office No.1 (North America, South America andEurope) at Honda Head Office, Japan.

His specialization is Overseas Sales of Automobiles and Motorcycles.

Mr. Nakagawa is currently on the Board of the following companies:


1 Hero Honda Motors Limited Joint Managing Director


MR. SUMIHISAFUKUDA

Mr. Sumihisa Fukuda was appointed as an Additional and Technical Director in the Whole-timeemployment of the Company by way of passing a resolution by Circulation on May 13, 2008 .Mr. Fukuda was born on December 12, 1955 at Nagasaki , Japan and after completing a course

in Mechanical Engineering, he joined Honda Motor Co., Ltd., Japan as an Engineer & hascompleted various assignments in Honda. In recent past, he was working as Manager - AsianAutoparts Co. Ltd., Thailand . He brings with him rich experience of more than 30 years.

Mr. Fukuda is currently on the Board of the following companies:



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1 Hero Honda Motors Limited Technical Director


MR. SUNILKANT MUNJAL

Mr. Sunil Kant Munjal was appointed on the Board of Directors of Hero Honda Motors LimitedAugust 25, 2006 as an Non Executive Director of the Company. After his graduation, heunderwent training in the field of Mechanical Engineering. Presently he is Managing Director ofHero Cycles Ltd. (C.R. Division) and Hero Corporate Services Limited.

Mr. Munjal has also been the President of Confederation of Indian Industry (CII), India's premierbusiness association. He is also on the Board of Indian School of Business, Hyderabad and is thevisiting faculty at various Business Schools and Corporate. His specialization is in BusinessStudies and Holistic Management Practices. Apart from the above he is a member of PrimeMinister's Council on Trade and Industry, Consultative Group on Industry, PlanningCommission, Government of India and SEBI Committee on Disclosures. He has madesignificant contributions to some of the National-level Economic and Labour reforms in India inthe capacity of Chairman or as a member.

Mr. Sunil Kant Munjal is currently on the board of the following companies:


1 Hero Management Service Limited Chairman & Managing Director2 Hero Corporate Service Limited Chairman

3 Shivam Autotech Limited Chairman

4 Hero Life Insurance Company Limited Chairman

5 Abhayuday Manufacturing & Automotive Ltd Director

6 Arrow Infra Limited Director

7 DCM Shriram Consolidated Limited Director

8 Easy Bill Limited Director

9 Hero Honda Motors Limited Director10 Hero Mindmine Institute Limited Director

11 Hero Realty & Infra Limited Director

12 Hero Steels Limited Director


14 Satyam Auto Components Limited Director


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15 Weave Engineering and Design Limited Director

MR. SUMANKANT MUNJAL

Mr. Suman Kant Munjal was appointed as an Additional Director on the Board of Hero HondaMotors Limited on July 29, 2010. Mr. Munjal is the Managing Director of Rockman IndustriesLtd., one of the leading suppliers of Aluminum Die Casting, Machined and Painted Assembliesto Hero Honda Motors Ltd. Mr. Munjal, a graduate in Commerce, possesses rich experience andexpertise in business management and thus has been instrumental in elevating RockmanIndustries Ltd. to its current status.

Mr. Suman Kant Munjal is currently on the board of the following companies:


1 Hero Management Service Limited Managing Director

2 Hero Corporate Service Limited Director

3 Shivam Autotech Limited Director

4 Hero Life Insurance Company Limited Director

5 Abhayuday Manufacturing & Automotive Ltd Director

MR. TAKASHI NAGAI

Mr. Takashi Nagai is President & CEO, Honda Siel Cars India Ltd. and Honda Motor IndiaPrivate Ltd. He is also the head of Hondas overall operations in the entire South West Asiaregion. He has been associated with Honda Motor Co. for more than 27 years. He joined Hondain 1982 and began his career in Production Control at companys Hamamatsu Plant in Japan.

Mr. Nagai has vast experience in the automobile industry, having worked with Honda ventures indifferent markets, across the globe including America and Europe. From February 2003 toJanuary 2006, Mr. Nagai was stationed in Mexico as Director of Honda de Mexico, S.A. de C.V.In February 2006, he was appointed as General Manager, Overseas Operations Office No. 1 of

Honda Motor Co. Ltd. looking after North America, South America and European market. InApril 2007, Nagai became Executive Vice President, Asian Honda Motor Company Ltd. and aDirector of Honda Motor Co. Ltd from June of the same year.

Mr. Nagai is on the board of the following companies.:



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1 Hero Honda Motors Limited President & CEO

2 Honda Siel Cars India Limited Director

3 Honda Siel Power Products Limited Director

MR. YUJI SHIGA

Mr. Yuji Shiga was appointed on the Board of Directors of Hero Honda Motors Limited on April19, 2010 in Casual Vacancy caused by the resignation of Mr. Masahiro Takedagawa. Mr. Shigabegan his career at Honda Motors in Domestic Sales of Power Products in 1982. He hasdistinguished his business expertise over 27 years in the field of power products, and wasappointed as President of Jialing Honda Motor Co., Ltd (China) in June 2005..

He has extensive experience of Hondas products and global operations, having worked in manyregions across the globe. In April 2009, he was appointed as General Manager of Overseas

Operation Office No.1, overlooking operations of North & South America, and Europe.Combined with his current role of supervising Asia & Oceania, he possesses a scope coveringclose to all of Hondas markets.

Mr. Shiga is on the board of the following companies:


1 Hero Honda Motors Limited Director

MR

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P DINO

DIA

Mr. Pradeep Dinodia was appointed as an Additional Director on the Board of the Company onMarch 31, 2001. Mr. Dinodia is a fellow member of The Institute of Chartered Accountants ofIndia and a senior partner in the Delhi-based Chartered Accountancy firm M/s. S.R. Dinodia &Company. He has considerable experience in corporate affairs and allied legal and taxationmatters.

Mr. Dinodia is on the Board of the following companies:


1 DCM Shriram Consolidated Limited Director

2 DFM Foods Limited Director

3 Hero Corporate Services Limited Director


5 Shriram Pistons & Rings Limited Director

6 JK Lakshmi Cement Limited Director


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7 Micromatic Grinding Technologies Limited Director

8 SPR International Auto Exports Limited Director

9 Ultima Finvest Limited Director

GEN. (RETD.) V. P. Malik

Gen. (Retd.) V. P. Malik was appointed as an Additional Director on the Board of the Companyon May 4, 2001. Gen. Malik retired as Chief of the Indian Army in September, 2000. During hisdistinguished military career, he received number of awards including the Ati Vishista SevaMedal (AVSM) and the Param Vishishta Seva Medal (PVSM) - the highest National award fordistinguished services.

Gen. Malik is on the Board of the following companies:


1 BSES Rajdhani Power Limited Director

2 BSES Yamuna Power Limited Director


4 Reliance Infrastructure Limited Director

MR. ANALJIT SINGH

Mr. Analjit Singh, the Chairman of Max India Group, was appointed as an Additional Directoron the Board of the Company on September 28, 2004. Mr. Singh brings has rich and variedexperience in businesses like Pharmaceuticals, telecom services, packaging, specialty plasticproducts and electronic components.

Mr. Singh is currently on the board of the following companies:


1 Max India Limited Chairman and Mg. Director

2 Max New York Life Insurance Company Limited Chairman3 Max Healthcare Institute Limited Chairman

4 Max Neeman Medical International Limited Chairman

5 Max Bupa Health Insurance Company Limited Chairman

6 Indus Towers Limited Chairman

7 Malsi Holdings Limited Chairman


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8 Malsi Estates Limited Chairman

9 Dabur India Limited Director


11 IDBI Bank Limited Director

12 Malsi Hotels Limited Director

13 Tata Beverages Limited Director

14 Vodafone Essar Limited Director

DR. PRITAM SINGH

Dr. Pritam Singh was appointed as an Additional Director on the Board of the Company onSeptember 28, 2004 . He is author of seven academically reputed books and over 50 researchpapers. Dr. Pritam Singh is one of the pioneers of Management Education in India who has

devoted his life to the development of Management Education in India and abroad. Dr. Singhreceived the "Padam Shri" award in 2003 for his contributions in this field.

He is also on the Board of the following companies and their committees:


1 Dish TV India Limited Director


3 Dena Bank Limited Director4 Godrej Properties Limited Director

5 Parsvnath Developers Limited Director

MS. SHOBHANABHARTIA

Mrs. Shobhana Bhartia was appointed as an Additional Director on the Board of the Company onMarch 24, 2005. She belongs to the distinguished Birla family and has married into anothermajor industrial family, the Bhartia Group. Currently, she is the Vice Chairperson and EditorialDirector of HT Media Limited. She has been conferred the "Padam Shri" by the UnionGovernment for her contribution to the media. Mrs. Bhartia is also the Chairperson ofInternational Press Institute (India Chapter). .

Mrs. Bhartia is director on the Board of the following companies:


1 HT Media Limited Chairperson & Editorial Director


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2 The Hindustan Times Limited Chairperson

3 Air Travel Bureau Limited Director

4 Britex (India) Limited Director

5 Firefly e-ventures Limited Director

6 Goldmerry Investment & Trading Co. Limited Director


8 Hindustan Media Ventures Limited Director

9 HTL Investment & Trading Co. Limited Director

10 Nilgiri Plantation Limited Director

11 Ronson Traders Limited Director

12 Shradhanjali Investment & Trading Co. Limited Director

13 Udit (India) Limited Director

14 Usha Flowell Limited Director

15 Yashovardhan Investment & Trading Co. Limited Director

MR. M. DAMODARAN

Mr. M. Damodaran has been appointed as an Additional Director w.e.f. June 16, 2008 in thecategory of Non-Executive and Independent Director. Mr. Damodaran, aged 61 years was bornon May 4, 1947 and belongs to the Indian Administrative Service, Manipur-Tripura Cadre. Hehad held various coveted positions in Government / Public Sector and Regulatory Bodies.

In the past he held the position of Joint Secretary (Banking Division) in the Ministry of Finance,Chairman Unit Trust of India. He headed the IDBI bank before being appointed as the Chairmanof the Securities and Exchange Board of India (SEBI), the country's financial market watchdog.He was also appointed as officer on special duty with the Reserve Bank of India dealingprimarily with the restructuring of three identified weak public sector banks.

Mr. Damodaran is currently on the board of the following companies:



2 Tech Mahindra Limited Director

3 Cochin Shipyard Limited Director

4 Dedicated Freight Corridor Corporation of India Limited Director

5 ING Vysya Bank Limited Director

6 Satyam Computer Services Limited Director


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7 Sobha Developers Limited Director

MR. RAVI NATH

Mr. Ravi Nath has been appointed as an Additional Director w.e.f. October 14, 2009 in thecategory of Non-Executive and Independent Director. Mr. Nath, aged 64 years is an Advocate ofSupreme Court of India. He is a Partner of one of the India's oldest legal firms Rajinder Narain &Co. He has done his B.Com (Honours), LLB, International and Competitive Laws from King'sCollege, London, and PIL from Harvard. He did his apprentice from Sinclair Roche andTemperley, London. He brings with him rich and specialized experience in the field of Corporateand Commercial law, Asset Finance, Aviation and Cross Border issues of nearly 40 illustriousyears. He has also been recognized several times by Euromoney and others as a leading lawyerin the field of Mergers & Acquisitions. He is listed in Who's Who and Legal 500. The BarAssociation of India conferred its highest honour on him.

He is also on the Board of the following companies:


1 Voith Paper Fabrics India Ltd. Director


3 Kanoria Chemicals & Industries Ltd. Director

4 Somany Ceramics Ltd. Director

Dr. ANAND C.BURMAN

Mr. Anand C. Burman has been appointed as an Additional Director w.e.f. January 13, 2010 inthe category of Non-Executive and Independent Director. Dr. Burman is an eminent Industrialistwith particular interests in the areas of Research and Development in the PharmaceuticalSciences as well as Biotechnology and Technology issues. Dr. Burman has Doctorate in the areaof Pharmaceutical Chemistry from the University of Kansas, USA. He is currently the Chairmanof Dabur India Limited. He is also a member in the Council of Governors at Birkbeck College,University of London.

He is also on the Board of the following companies:


1 Dabur India Limited Chairman & Director

2 Fresenius Kabi Oncology Limited Director

3 Althea Lifesciences Limited Director

4 Aviva Life Insurance Co. India Limited Director


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5 Dabur Overseas Limited Director

6 Dabur Pharmaceuticals Limited Director

7 H&B Stores Limited Director


9 Hindustan Motors Limited Director

Date ofEstablishment 1984Revenue3743.17 ( USD in Millions )Market Cap 339269.0625 (Rs. in Millions )Corporate Address34 Community Centre,Basant Lok Vasant Vihar, NewDelhi-110057, Delhiwww.herohonda.comManagement Details

Chairperson - Brijmohan Lall MunjalMD - Pawan MunjalDirectors - Analjit Singh, Anand C Burman, Arun Nath Maira, Brijmohan Lall Munjal, Ilam CKamboj, M Damodaran, Masahiro Takedagawa, Meleveetil Damodaran, Om Prakash Munjal,Pawan Munjal, Pradeep Dinodia, Pritam Singh, Ravi Nath, Satoshi Matsuzawa, ShobhanaBhartia, Suman Jyoti Khaitan, Suman Kant Munjal, Sumihisa Fukuda, Sunil Kant Munjal,Takashi Nagai, Toshiaki Nakagawa, Toshiyuki Inuma, V P Malik, Ved Prakash Malik, YujiShiga

Business OperationAutomobile Two & Three WheelersBackground

Hero Honda Motors Limited is the World's single largest two-wheeler motorcycle company.Honda Motor Company of Japan and the Hero Group entered a joint venture to setup HeroHonda Motors Limited in 1984.

The joint venture between India's Hero Group and Honda Motor Company, Japan has not onlycreated the world's single largest two wheeler company but also one of the most successful jointventures worldwid

FinancialsTotal Income - Rs. 161716.9 Million ( year ending Mar 2010)

Net Profit - Rs. 22318.3 Million ( year ending Mar 2010) Company SecretaryIlam C

KambojBankersABN Amro Bank, Bank of America, Bank of Tokyo Mitsubishi , Canara Bank ,

Citi Bank, HDFC Bank, HSBC Bank, ICICI Bank, Punjab National Bank, Standard Chartered

BankAuditorsAF Ferguson & Co

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Hero Honda Cp